Pay Raise for Federal Civilian Employees Omitted from Initial Budget Proposal
The initial fiscal year (FY) 2027 budget proposal from the Trump administration makes no mention of a pay raise for federal civilian employees.
A spokesperson for the Office of Management and Budget (OMB) confirmed that no civilian pay increase is included in the proposal.
The administration is requesting a five to seven percent pay raise for members of the military, depending on rank. The highest raises would go to the lowest-ranked military personnel.
“This enduring investment, far above the standard annual military pay raise, builds on the president’s recruiting and retention success, by doubling down on the administration’s goal to restore America’s fighting force,” stated the budget proposal.
In last year’s budget request, the administration also did not include a civilian pay raise. In the alternative pay plan issued in August, President Trump proposed a one percent increase for most civilian employees and a 3.8 percent raise for certain civilian law enforcement personnel, the smallest increase since 2021. Under the 1990 Federal Employees Pay Comparability Act, the president must submit an alternative pay plan to Congress by the end of August to implement a smaller increase or pay freeze and override larger automatic across-the-board and locality pay adjustments.
Democrats in Congress, some of whom are pushing to pass a law requiring a 4.1 percent pay raise for federal employees in 2027, criticized the proposal.
“This budget continues that pattern with an insulting pay freeze, chainsaw slashes to key federal agencies, and no meaningful investment to retain the workforce that continues to serve the American people,” said Rep. James Walkinshaw (D-VA), one of the sponsors of the FAIR Act.
The president’s budget proposal serves as a policy blueprint and starting point for negotiations with Congress, which ultimately determines federal pay levels and spending.
Budget Seeks Massive Increase in Defense Spending
Overall, the proposed budget seeks $1.5 trillion for the Department of Defense, a $445 billion increase over current levels.
The administration is also seeking a cut of ten percent or $73 billion in non-defense spending.
“We’re fighting wars. We can’t take care of day care,” said President Trump of the budget at a White House private event.
Democrats called the proposal dead on arrival.
“It’s just an out-of-touch plea for more money for guns and bombs, and less for the things people need, like housing, healthcare, education, roads, scientific research, and environmental protection,” said Senate Budget Committee Ranking Member Jeff Merkley (D-OR).
Regarding the federal workforce, the budget estimates staffing headcounts at agencies. Some agencies, including the Department of Justice (DOJ) and Department of Veterans Affairs (VA), are projected to see staffing increases. Most agencies, however, are expected to remain below 2024 staffing levels.
